• DoubleDragon raises P9.7B from retail bond issue


    LISTED property developer DoubleDragon Properties Corp. said it raised P9.7 billion from the issue of its second tranche of peso-denominated fixed retail bonds due 2024, which were listed on Friday on the Philippine Dealing and Exchange Corp. (PDEx).

    The issuance is the last tranche under its P15-billion shelf registration program.

    Proceeds will be used to fund its retail and office projects until 2020 as well as the construction of 10 CitiMalls across the country, bringing its operational CitiMalls by the end of the year to 30 malls.

    The retail bonds were issued at a fixed coupon rate of 6.0952 percent to be paid quarterly in arrears over a seven-year period. The issue was priced at the bottom end of the pricing range due to robust demand from institutional and retail investors alike, DoubleDragon said.

    The joint lead underwriters were BDO Capital & Investment Corp., RCBC Capital Corporation, Maybank ATR Kim Eng Capital Partners, Inc., and BPI Capital Corporation.

    Similar to the first tranche issued last December 15, 2016, Philippine Rating Services Corporation issued a credit rating of PRS Aa – PhilRatings’ second highest rating category – to the latest bond issue.

    DoubleDragon said it plans to use a portion of the proceeds for the phase 2 to 4 construction of its DoubleDragon Plaza in Pasay City.

    “Phase 2, we just started, DoubleDragon East and West and then Ascott will be at the back,” DoubleDragon Chairman and Chief Executive Officer Edgar Sia 2nd told reporters following the listing ceremony.

    Earlier, DoubleDragon announced it was targeting to hit one million square meters gross floor area (GFA) by 2020.

    “For the one-million square meters for 2020, it is already complete, this caps the funding [requirement]for the 1-million square meter [target],” he said.

    In the next few months, DoubleDragon is slated to launch its first cinema at CitiMalls, which is in partnership with media giant ABS-CBN Corp.

    “Eleven cinema sites are now done. It’s just that ABS-CBN is basing their schedule, I think, based on their launch of their movies… so hopefully, we hope to complete the CitiMalls with cinemas by 2020,” Sia said.

    “That would make us have 200 screens and hopefully the second largest in terms of numbers of screens by 2020 so that will also further enhance CitiMalls in those communities,” he added.


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